If you’ve been wondering, “Can I transfer my mortgage from one bank to another in UAE?” — the answer is yes, and in many cases, it’s a smart financial move. Whether you’re unhappy with high interest rates, poor service, or simply found a better deal elsewhere, transferring your mortgage is possible and can save you thousands of dirhams over time.
In this article, we’ll explain how the mortgage transfer process works, why people choose to switch, what to watch out for, and how Capital Zone can make it simple and cost-effective.
Can I Transfer My Mortgage from One Bank to Another in UAE?
Yes, you can. The UAE Central Bank allows homeowners to transfer their mortgage loans between banks to access better rates, terms, or services. The process is called a mortgage buyout or loan refinancing.
Understanding the ins and outs of transfering your mortgage from one bank to another in UAE helps you avoid unnecessary fees, penalties, and paperwork delays.
Why Transfer Your Mortgage to Another Bank?
You may be asking “why should I transfer my mortgage?” Here are the most common reasons UAE residents switch lenders:
- Lower Interest Rates – The most common motivator. Even a 0.5% drop can save thousands over the loan term.
- Better Customer Service – Some banks offer quicker service or more flexibility with payments.
- Change in Loan Tenure – A new bank may offer a better term structure that suits your income.
- Switch from Variable to Fixed Rate (or vice versa) – Lock in better rates or reduce market exposure.
- Property Value Has Increased – Allows you to renegotiate terms based on higher equity.
So if you’re still asking, “Can I transfer my mortgage from one bank to another in UAE?” — the question is better framed as why haven’t you explored it yet?
How the Mortgage Transfer Process Works
Here’s how it typically goes:
- Review Existing Mortgage Terms – Check remaining loan balance, interest rate, and any early settlement fees.
- Compare Offers from Other Banks – Identify banks offering better rates and flexible terms.
- Apply for the Buyout – The new bank pays off your current loan and opens a new mortgage account for you.
- Update Property Documents – Work with the Dubai Land Department or Abu Dhabi Municipality to reflect the mortgage switch.
- Settle Fees – This may include valuation fees, processing fees, and early settlement charges.
A mortgage expert like Capital Zone ensures the process is smooth, transparent, and cost-effective.
Costs to Consider Before You Transfer
While switching can save you money, you should also factor in:
- Early settlement fee from your current bank (capped at 1% or AED 10,000)
- Valuation fee for the new property assessment
- Processing or arrangement fee from the new bank (can be negotiable)
- Land Department fees for mortgage change registration
Being aware of these makes the question “Can I transfer my mortgage from one bank to another in UAE?” not just about can you, but should you — and under what conditions.
Why Capital Zone is the Smart Choice for Mortgage Transfers
At Capital Zone, we specialize in helping clients switch their mortgage with zero stress and maximum savings. Here’s what we offer:
- Unbiased Comparison – We compare rates across all major UAE banks to find your ideal fit.
- Full Process Management – From bank negotiations to paperwork, we handle it all for you.
- Fee Minimization – We work to waive or reduce early settlement charges wherever possible.
Personal Guidance – Our expert mortgage consultants walk you through every step, ensuring clarity.
Disclaimer: Mortgage rates and terms are subject to change based on lender policies and market conditions. Always consult a financial advisor for personalized advice.
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